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GuruFocus Financial Strength Rank measures how strong a company’s financial situation is. It is based on these factors

1. The debt burden that the company has as measured by its Interest coverage (current year).
2. Debt to revenue ratio. The lower, the better
3. Altman Z-score.

A company ranks high with financial strength is likely to withstand any business slowdowns and recessions.

Financial Strength : 7/10

vs
industry
vs
history
Cash to Debt 1.31
TRIP's Cash to Debt is ranked lower than
54% of the 362 Companies
in the Global Internet Content & Information industry.

( Industry Median: 10000.00 vs. TRIP: 1.31 )
TRIP' s 10-Year Cash to Debt Range
Min: 0.43   Max: No Debt
Current: 1.31

Equity to Asset 0.59
TRIP's Equity to Asset is ranked higher than
57% of the 343 Companies
in the Global Internet Content & Information industry.

( Industry Median: 0.66 vs. TRIP: 0.59 )
TRIP' s 10-Year Equity to Asset Range
Min: 0.35   Max: 0.75
Current: 0.59

0.35
0.75
Interest Coverage 29.24
TRIP's Interest Coverage is ranked higher than
50% of the 274 Companies
in the Global Internet Content & Information industry.

( Industry Median: 4266.18 vs. TRIP: 29.24 )
TRIP' s 10-Year Interest Coverage Range
Min: 26.03   Max: 9999.99
Current: 29.24

26.03
9999.99
F-Score: 4
Z-Score: 13.98
M-Score: -2.83
GuruFocus Profitability Rank ranks how profitable a company is and how likely the company’s business will stay that way. It is based on these factors:

1. Operating Margin
2. Trend of the Operating Margin (5-year average). The company with an uptrend profit margin has a higher rank.
••3. Consistency of the profitability
4. Piotroski F-Score
5. Predictability Rank•

The maximum rank is 10. A rank of 7 or higher means a higher profitability and may stay that way. A rank of 3 or lower indicates that the company has had trouble to make a profit.

Profitability Rank is not directly related to the Financial Strength Rank. But if a company is consistently profitable, its financial strength will be stronger.

Profitability & Growth : 6/10

vs
industry
vs
history
Operating margin (%) 31.18
TRIP's Operating margin (%) is ranked higher than
93% of the 346 Companies
in the Global Internet Content & Information industry.

( Industry Median: 6.35 vs. TRIP: 31.18 )
TRIP' s 10-Year Operating margin (%) Range
Min: 31.18   Max: 47.77
Current: 31.18

31.18
47.77
Net-margin (%) 21.75
TRIP's Net-margin (%) is ranked higher than
91% of the 348 Companies
in the Global Internet Content & Information industry.

( Industry Median: 5.10 vs. TRIP: 21.75 )
TRIP' s 10-Year Net-margin (%) Range
Min: 21.75   Max: 29.09
Current: 21.75

21.75
29.09
ROE (%) 23.76
TRIP's ROE (%) is ranked higher than
93% of the 341 Companies
in the Global Internet Content & Information industry.

( Industry Median: 6.68 vs. TRIP: 23.76 )
TRIP' s 10-Year ROE (%) Range
Min: 23.76   Max: 60.53
Current: 23.76

23.76
60.53
ROA (%) 13.95
TRIP's ROA (%) is ranked higher than
91% of the 349 Companies
in the Global Internet Content & Information industry.

( Industry Median: 3.96 vs. TRIP: 13.95 )
TRIP' s 10-Year ROA (%) Range
Min: 13.95   Max: 21.26
Current: 13.95

13.95
21.26
ROC (Joel Greenblatt) (%) 361.32
TRIP's ROC (Joel Greenblatt) (%) is ranked higher than
89% of the 345 Companies
in the Global Internet Content & Information industry.

( Industry Median: 56.06 vs. TRIP: 361.32 )
TRIP' s 10-Year ROC (Joel Greenblatt) (%) Range
Min: 361.32   Max: 736.08
Current: 361.32

361.32
736.08
Revenue Growth (%) 21.40
TRIP's Revenue Growth (%) is ranked higher than
84% of the 201 Companies
in the Global Internet Content & Information industry.

( Industry Median: 9.40 vs. TRIP: 21.40 )
TRIP' s 10-Year Revenue Growth (%) Range
Min: 0   Max: 21.4
Current: 21.4

0
21.4
EBITDA Growth (%) 6.10
TRIP's EBITDA Growth (%) is ranked higher than
71% of the 159 Companies
in the Global Internet Content & Information industry.

( Industry Median: 7.90 vs. TRIP: 6.10 )
TRIP' s 10-Year EBITDA Growth (%) Range
Min: 0   Max: 6.1
Current: 6.1

0
6.1
EPS Growth (%) 10.70
TRIP's EPS Growth (%) is ranked higher than
71% of the 139 Companies
in the Global Internet Content & Information industry.

( Industry Median: 12.50 vs. TRIP: 10.70 )
TRIP' s 10-Year EPS Growth (%) Range
Min: 0   Max: 10.7
Current: 10.7

0
10.7
» TRIP's 10-Y Financials

Financials


Revenue & Net Income
Cash & Debt
Oprt. Cash Flow & Free Cash Flow

» Details

Guru Trades

Q1 2013

TRIP Guru Trades in Q1 2013

Louis Moore Bacon 10,000 sh (New)
Jim Simons 372,900 sh (New)
Tom Russo 100 sh (New)
Columbia Wanger 1,325,000 sh (unchged)
Julian Robertson Sold Out
Lee Ainslie Sold Out
Steve Mandel 6,501,886 sh (-0.99%)
Alan Fournier 4,384,550 sh (-1.62%)
George Soros 140,744 sh (-52.02%)
Steven Cohen 431,474 sh (-52.54%)
» More
Q2 2013

TRIP Guru Trades in Q2 2013

Robert Karr 325,000 sh (New)
Jim Simons 501,400 sh (+34.46%)
Columbia Wanger 1,325,000 sh (unchged)
George Soros 140,744 sh (unchged)
Tom Russo Sold Out
Louis Moore Bacon Sold Out
Alan Fournier 3,428,198 sh (-21.81%)
Steve Mandel 1,991,854 sh (-69.36%)
Steven Cohen 6,309 sh (-98.54%)
» More
Q3 2013

TRIP Guru Trades in Q3 2013

Chase Coleman 270,000 sh (New)
Steven Cohen 26,104 sh (+313.76%)
Robert Karr 325,000 sh (unchged)
Columbia Wanger 1,325,000 sh (unchged)
George Soros Sold Out
Steve Mandel Sold Out
Alan Fournier 2,580,554 sh (-24.73%)
Jim Simons 17,100 sh (-96.59%)
» More
Q4 2013

TRIP Guru Trades in Q4 2013

Jim Simons 621,600 sh (+3535.09%)
Chase Coleman 1,479,000 sh (+447.78%)
Steven Cohen 30,227 sh (+15.79%)
Robert Karr 325,000 sh (unchged)
Alan Fournier 2,503,454 sh (-2.99%)
Columbia Wanger 1,150,000 sh (-13.21%)
» More
» Details

Insider Trades

Latest Guru Trades with TRIP

GuruDate Trades Impact to Portfolio Price Range * (?) Current Price Change from Average Current Shares
Steve Mandel 2013-09-30 Sold Out 0.59%$60.23 - $81.26 $ 85.6821%0
George Soros 2013-09-30 Sold Out 0.09%$60.23 - $81.26 $ 85.6821%0
Steve Mandel 2013-06-30 Reduce -69.36%1.25%$48.29 - $64.51 $ 85.6850%1991854
Julian Robertson 2013-03-31 Sold Out 2.4%$41.92 - $53.24 $ 85.6883%0
Lee Ainslie 2013-03-31 Sold Out 0.84%$41.92 - $53.24 $ 85.6883%0
George Soros 2013-03-31 Reduce -52.02%0.08%$41.92 - $53.24 $ 85.6883%140744
John Griffin 2012-12-31 Sold Out 1.5%$29.41 - $43.45 $ 85.68137%0
Julian Robertson 2012-12-31 Add 88.57%1.13%$29.41 - $43.45 $ 85.68137%330000
Lee Ainslie 2012-12-31 Reduce -60.41%0.91%$29.41 - $43.45 $ 85.68137%1356677
Steve Mandel 2012-12-31 Add 14.26%0.21%$29.41 - $43.45 $ 85.68137%6567153
George Soros 2012-12-31 Reduce -21.43%0.04%$29.41 - $43.45 $ 85.68137%293344
John Griffin 2012-09-30 Reduce -50.66%1.93%$32.91 - $46.39 $ 85.68124%2800000
Lee Ainslie 2012-09-30 New Buy1.5%$32.91 - $46.39 $ 85.68124%3426573
Julian Robertson 2012-09-30 New Buy1.3%$32.91 - $46.39 $ 85.68124%175000
Steve Mandel 2012-09-30 New Buy1.2%$32.91 - $46.39 $ 85.68124%5747707
George Soros 2012-09-30 New Buy0.2%$32.91 - $46.39 $ 85.68124%373344
John Keeley 2012-09-30 Sold Out 0.03%$32.91 - $46.39 $ 85.68124%0
John Griffin 2012-06-30 Add 21.39%0.67%$33.38 - $45.03 $ 85.68112%5675000
Steve Mandel 2012-06-30 Sold Out 0.4%$33.38 - $45.03 $ 85.68112%0
George Soros 2012-06-30 Sold Out 0.28%$33.38 - $45.03 $ 85.68112%0
John Keeley 2012-06-30 New Buy0.03%$33.38 - $45.03 $ 85.68112%31000
John Griffin 2012-03-31 New Buy2.8%$25.52 - $36.03 $ 85.68191%4675000
Steve Mandel 2012-03-31 New Buy0.4%$25.52 - $36.03 $ 85.68191%1865613
George Soros 2012-03-31 Add 45.29%0.09%$25.52 - $36.03 $ 85.68191%532510
George Soros 2011-12-31 New Buy0.4%$24.53 - $30.25 $ 85.68217%366510
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Guru Investment Theses on TripAdvisor Inc

Giverny Capital's Podium of Errors - Tripadvisor - Mar 25, 2014

As you can imagine, I spend a great deal of the year on the road visiting companies, attending conferences and meeting partners. Having had all sorts of hotel experiences over the course of the past decades, I really like to be able to choose hotels which can make my travels more enjoyable. I discovered the website Tripadvisor a few years ago and became a loyal fan. To paraphrase an American Express advertising, I never leave home without vetting out my destination on Tripadvisor ahead of time. The company also owns another very useful site called webseatguru.com which helps you choose the best seat on any commercial flight.



Tripadvisor went public at the end of 2011 and I was very impressed with the company’s financial performance after reading the prospectus. Unfortunately, the stock rapidly climbed to $45 and was trading at 30 times its earnings. Then, in the fall of 2012, the stock tumbled by 33% to $30 and I seriously thought about buying it. The P/E seemed reasonable (20x) for a company with a dominant brand that was growing at 20% a year. Yet, as often the case, I decided to wait for an even better price. And the stock surged by 180% in the following year and is now trading at $84. It’s too bad that I didn’t convert my admiration into profits as it would have paid for a few five star hotels…for both you and me.



Source: Giverny Capital Annual Letter 2013



Check out latest stock trades

Top Ranked Articles about TripAdvisor Inc

Giverny Capital's Podium of Errors - Tripadvisor
As you can imagine, I spend a great deal of the year on the road visiting companies, attending conferences and meeting partners. Having had all sorts of hotel experiences over the course of the past decades, I really like to be able to choose hotels which can make my travels more enjoyable. I discovered the website Tripadvisor a few years ago and became a loyal fan. To paraphrase an American Express advertising, I never leave home without vetting out my destination on Tripadvisor ahead of time. The company also owns another very useful site called webseatguru.com which helps you choose the best seat on any commercial flight. Read more...
Alan Fournier – Selling Update on TRIP, PHH, ST, C, and More in Third Quarter
The recent update of Pennant Capital's portfolio, led by Alan Fournier, lists 47 stocks, 4 of them new, with a total value of $5.58 billion, and a quarter-over-quarter turnover of 9%. The portfolio’s top sector weightings are consumer cyclical at 26.2%, industrials at 23.8% and technology at 16.8%. Alan Fournier is averaging a 12-month return of 7.05%. Read more...
George Soros - Third Quarter Selling Streak
The recent update of the Soros Fund Management portfolio, led by legendary Guru George Soros, lists 232 stocks, 91 of them new, with a total value of $9.14 billion, and a quarter-over-quarter turnover of 24%. Read more...

Ratios

vs
industry
vs
history
P/E(ttm) 60.80
TRIP's P/E(ttm) is ranked lower than
58% of the 238 Companies
in the Global Internet Content & Information industry.

( Industry Median: 31.10 vs. TRIP: 60.80 )
TRIP' s 10-Year P/E(ttm) Range
Min: 18.98   Max: 76.64
Current: 60.8

18.98
76.64
P/B 14.09
TRIP's P/B is ranked lower than
74% of the 333 Companies
in the Global Internet Content & Information industry.

( Industry Median: 3.35 vs. TRIP: 14.09 )
TRIP' s 10-Year P/B Range
Min: 6.18   Max: 17.77
Current: 14.09

6.18
17.77
P/S 13.18
TRIP's P/S is ranked lower than
80% of the 362 Companies
in the Global Internet Content & Information industry.

( Industry Median: 2.64 vs. TRIP: 13.18 )
TRIP' s 10-Year P/S Range
Min: 5.33   Max: 16.62
Current: 13.18

5.33
16.62
PFCF 42.21
TRIP's PFCF is ranked lower than
53% of the 195 Companies
in the Global Internet Content & Information industry.

( Industry Median: 30.17 vs. TRIP: 42.21 )
TRIP' s 10-Year PFCF Range
Min: 17.27   Max: 53.23
Current: 42.21

17.27
53.23
EV-to-EBIT 40.98
TRIP's EV-to-EBIT is ranked lower than
59% of the 270 Companies
in the Global Internet Content & Information industry.

( Industry Median: 22.29 vs. TRIP: 40.98 )
TRIP' s 10-Year EV-to-EBIT Range
Min: 13.7   Max: 52.9
Current: 40.98

13.7
52.9

Valuation & Return

vs
industry
vs
history
Price/Tangible Book 39.31
TRIP's Price/Tangible Book is ranked lower than
85% of the 293 Companies
in the Global Internet Content & Information industry.

( Industry Median: 5.23 vs. TRIP: 39.31 )
TRIP' s 10-Year Price/Tangible Book Range
Min: 27.58   Max: 38
Current: 39.31

27.58
38
Price/Median PS Value 1.49
TRIP's Price/Median PS Value is ranked lower than
57% of the 325 Companies
in the Global Internet Content & Information industry.

( Industry Median: 1.10 vs. TRIP: 1.49 )
TRIP' s 10-Year Price/Median PS Value Range
Min: 0.6   Max: 1.44
Current: 1.49

0.6
1.44
Price/Graham Number 10.17
TRIP's Price/Graham Number is ranked lower than
77% of the 209 Companies
in the Global Internet Content & Information industry.

( Industry Median: 2.90 vs. TRIP: 10.17 )
TRIP' s 10-Year Price/Graham Number Range
Min: 6.15   Max: 9.83
Current: 10.17

6.15
9.83
Earnings Yield (Greenblatt) 2.40
TRIP's Earnings Yield (Greenblatt) is ranked lower than
54% of the 280 Companies
in the Global Internet Content & Information industry.

( Industry Median: 4.20 vs. TRIP: 2.40 )
TRIP' s 10-Year Earnings Yield (Greenblatt) Range
Min: 1.9   Max: 7.3
Current: 2.4

1.9
7.3

Business Description

Industry: Online Media » Internet Content & Information
Compare: » details
Traded in other countries:T6A.Germany
TripAdvisor, Inc. was incorporated as a Delaware corporation. It spun off from Expedia, Inc. on December 20, 2011. The Company is an online travel company, empowering users to plan and have the perfect trip. The Company's travel research platform aggregates reviews and opinions from its community about destinations, accommodations (including hotels, bed and breakfasts, or B&Bs, specialty lodging and vacation rentals), restaurants and activities throughout the world through its flagship TripAdvisor brand. The Company's branded websites include tripadvisor.com in the United States and localized versions of the website in 29 other countries, including in China under the brand daodao.com. The Company's-branded websites globally received more than 50 million unique visitors in January 2012 (according to comScore), and it has built a marketable base of more than 20 million members and over 60 million reviews and opinions. Beyond travel-related content, its websites also include links to the websites of its customers, including travel advertisers, allowing travelers to directly book their travel arrangements. In addition to the flagship TripAdvisor-branded websites, it has also acquired and launched numerous other travel brands, connected by the common characteristic of providing travelers with valuable planning resources across the travel sector. These brands have expanded its reach, product breadth and appeal to domestic and international advertisers. The Company operates in the online advertising sector of the global travel industry. As a result, it is impacted by trends in the global travel industry, the online travel market and online advertising. The Company faces competition for users, advertisers and travel reviews. The Company's primary competitors include large search engines, such as Google, Microsoft's Bing, Yahoo! and Baidu, and online travel agencies such as Expedia and Priceline, and their respective subsidiaries. The Company also competes with a wide range of other companies, including, among others, Airbnb, Inc., Ctrip.com International, Ltd., HolidayCheck AG, HomeAway.com, Inc., Kayak Software Corporation, Qunar.com Information Technology Co. Ltd., TravelZoo Inc. and Yelp, Inc. The Company is subject to a number of United States federal and state and foreign laws and regulations that affect companies conducting business on the Internet, many of which are still evolving and being tested in courts, and could be interpreted in ways that could harm its business.

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